4.4 Student loans

In this section:

• 4.4.1 Student loans: good or bad
• 4.4.2 Financing your education
• 4.4.3 Student loan systems in Canada
• 4.4.4 Canada Student Loans system
• 4.4.5 Repaying your Canada Student Loan
• 4.4.6 The time and cost to repay student loans
• 4.4.7 Summary of key messages

Introduction

Getting a post-secondary education in Canada comes with a cost. Depending on the school or program, tuition can cost between $2,500 and $8,000 a year or more. Living expenses can double, or, in some cases, triple the total cost of post-secondary education.

That's why it's not surprising that many young people in Canada borrow money to finance their education. In fact, as of 2009, students receiving loans through the Canada Student Loan Program together owed more than $13 billion. That worked out to an average debt of $13,000 to $28,000 per person, depending on the province.

Student loans can be a big help if you need financial assistance to get through school. But they are still debts, and have to be repaid.

This section is about student loans. In it you will learn:

• how student loans can help you finance your education
• how student loan systems work in Canada
• other sources of student financial assistance.

By the time you finish this section, you will understand how a student loan could help you and how to manage your student debt responsibly.